Ubisoft Announces 55 Job Cuts at Swedish Studios

Ubisoft has announced a proposed organizational restructure that may affect approximately 55 roles across its Swedish studios. The impacted locations include Massive Entertainment in Malmö and Ubisoft Stockholm.

The decision follows the completion of a Voluntary Leave Program launched in the fall of 2025. According to the company, this program did not achieve the number of leavers necessary to meet Ubisoft's plans to reduce headcount.

The company emphasized that these proposed changes are structural and forward-looking. They are not related to individual performance, recent deliveries, or the quality of work produced by the teams.

Despite the job cuts, the long-term direction for the studios remains unchanged. Massive Entertainment will continue to lead the The Division franchise, and development on The Division 3 will continue as a priority.

Ubisoft released a statement confirming the proposed restructuring to employees in the Swedish studios. The company stated, "Earlier today, we informed all employees in our Swedish studios (Massive Entertainment and Ubisoft Stockholm) about a proposed organizational restructure that may affect approximately 55 roles across Malmö and Stockholm."

The statement further explained the rationale behind the move. "This restructure follows the completion of the Voluntary Leave Program launched during the fall of 2025, a finalized long-term roadmap, and a finalized staffing and appointment process, which together have provided clearer visibility into the structure and capacity required to support the two studios’ work and sustainably over time."

Regarding the nature of the changes, Ubisoft clarified that the restructuring is strategic. The company noted, "These proposed changes are forward-looking and structural, they are not related to individual performance, recent deliveries, or the quality of the work produced by the teams."

The company also outlined the process for the affected staff. "The proposed restructuring will begin with a focus on individual agreements and impacted employees are being informed directly and supported with care and respect inline with local regulations."

Despite the workforce reduction, Ubisoft confirmed that development on key franchises will continue. The long-term direction for the studios remains unchanged, and they will continue to serve as the global home for the The Division franchise.

Specific projects currently in development include:

• The Division 3: Work is currently underway on the next installment of the franchise.
• The Division 2: Continued updates are planned for the existing title.
• The Division 2: Survivors: An extraction project currently under wraps.

Massive Entertainment is also responsible for the Snowdrop engine. This technology is currently used in Star Wars Outlaws and Avatar: Frontiers of Pandora. The studio is also conducting early work on a mysterious separate game project focused on innovation and technology.

The company also mentioned moving forward with an "unannounced innovative tech project with a refined team setup."

This announcement is part of a wider effort by Ubisoft to streamline operations. Last week, the company announced the closure of its Canadian mobile game studio, Ubisoft Halifax.

The closure of the Halifax studio resulted in the loss of 71 jobs. Ubisoft stated that this decision was part of a two-year effort company-wide to "streamline operations, improve efficiency, and reduce costs."

The company explicitly noted that the closure of Ubisoft Halifax was unrelated to the fact that 61 of its 71 workers had recently voted to unionize. This recent history provides context for the ongoing cost-cutting measures affecting the Swedish studios.

Ubisoft is proceeding with significant organizational changes in Sweden, impacting 55 roles at Massive Entertainment and Ubisoft Stockholm. The company maintains that these changes are structural and necessary for long-term sustainability following the voluntary leave program.

While job losses are unfortunate, the company remains committed to its major franchises. The Division franchise, in particular, remains a priority with multiple projects in development. The Snowdrop engine development and other innovative tech projects will also continue with a refined team structure.